Manufacturer of Sterile Products
Separation of a Sterile products business unit from a Global Pharma and Medical Device manufacturer. PIP supported this transaction from Pre-Deal Diligence through Day 1/Day 2 Planning and Carveout execution. Carveout executed in 12 months, leveraging phased-migration approach and extensive use of lift-and-shift and clones
Background
- B2B business with $300M in Revenue, 10+ Major Products, Carve-out being purchased by a PE firm
- Requirements for the end-state divested company were to:
- Complex operating structure with a focus on IQ/OQ, GxP and FDA compliance requirements
- Develop growth-oriented IT Op model and back-office structure
- High Degree of Entanglements
- Expensive TSAs requiring faster exit
Approach
- Validated areas of entanglements and separation plans with company leadership and SME’s
- Managed one-time and recurring standalone budgets to transform cost structure
- Negotiated TSAs, including scope, structure, services, terms, and costs
- Established separation management office to exit TSAs and speed standalone initiatives
- Used pre-configured solutions to migrate ERP, CRM and subscription management platforms to cloud-based systems
- Build-out of greenfield infrastructure encompassing data center, cloud, active directory, network, voice/telecom, messaging/collaboration and access management
Results
- Developed growth-focused straight-to-cloud separation strategy
- Accelerated TSA exit with lean and efficient IT organization
- Seamless transition to end-state while maintaining business continuity and user experience
- Right-sized IT operating model and cost-effective IT capabilities
- Cloud-based ERP (JDE) system designed for scale and stability
- Adoption of best-in-class solutions to support Quality Control, R&D, and Document Management processes
